The United States government offers several schemes and plans to help the American population enjoy health insurance benefits to the fullest. “Obamacare” is one such program that provides health insurance facilities to both high income and low income groups in America. However, a report from a Washington, D.C. company called Avalere Health reveals that the price of one of the plans in Obamacare, called the Silver Plan, will rise to about 34% in 2018. The Silver Plan provides a decent coverage policy and is a bit high in monthly premiums. For those who cannot pay such high premiums; Not to worry, there are policies besides this and a support system that will provide health insurance in low cost.
while shopping for cheap health insurance plans, One must have good knowledge about health insurance policies. Shelby George, senior vice president of advisor services at Manning & Napier, advises shoppers to always research the amount of cost coverage provided by the company. In other words, one should not get carried away by the cheap rates but should instead focus on how much coverage the insurance companies provide for those cheap rates that they advertise.
In order to get best cheap health insurance, Below is an explanation of the various policies available and a description of whether one can get “free” insurance.
Subsidies and other health insurance plans:
With the goal of providing health insurance coverage to all Americans, one of the many beneficial plans proposed by the government is the Subsidies plan. Subsidy, in simple terms, is the amount paid by the government to insurance companies for providing health insurance facilities to people with low incomes. This means that people in the lower income group will be able to enjoy health insurance benefits through the use of subsidies, which would otherwise be denied by insurance companies in any other short-term policy claim.
An individual who earns about $48,000 and a family of 4, who earn less than $98,000, are those who can enjoy the benefits of the benefits. Thus, low-income people can have fun Good and cheap health insurance With the help of subsidies. However, these Obamacare-proposed subsidy schemes are likely to be changed or generally eliminated by the Trump administration.
Speaking of other health insurance plans, the Silver plan will cover up to 70% of an individual’s healthcare fee while the Bronze plan will cover up to 60% of the costs and the remaining percentage of the fee will have to be paid out of the person’s pockets. Now, comparing these two plans, if one wished to spend no money at all from their pockets, choosing a Bronze plan with a subsidy would be very helpful. For those who cannot pay out of their own pockets, the Bronze plan coverage of 60% plus the remaining 40% covered by subsidy will help to enjoy Cheap health insurance.
What type of policy can one choose?
The first step is to get a file Best cheap health insurance It is to be aware of the policy that best suits one’s needs. Below is a list of two options which are explained briefly, so that one can choose the most suitable one.
1. Short Term Policy: The short-term policy is for those people who do not qualify for benefits. In other words, people for whom it becomes “unaffordable” to get health insurance are advised to choose this policy. Here the term “unaffordable” is described as a cost that exceeds 8% of an individual’s or household’s annual income. According to Nate Purpura, Vice President of Consumer Affairs (ehealth.com), individuals with incomes between $49,000 to $69,000 and families earning between $99,000 and $129,000 should go for short-term policies.
Hence, if one finds it difficult to pay the expensive premiums and avail health insurance, then it is highly recommended to go for the short-term policy. However, there are no penalties if one does not want to have any health insurance. But, on a positive note, it is beneficial for the individuals themselves, if they have some financial protection that will come in handy in unfriendly circumstances.
Here are some noteworthy details about short-term policies:
- These policies usually last up to 3 months and can be extended up to 9 months (on the 3-month renewal period).
- According to the new rules proposed by President Trump, having a short-term policy will be mandatory for all individuals. However, this rule has not yet been approved, but it will come into force soon.
- These policies do not provide coverage for pre-existing illnesses, i.e. illnesses that a person suffers from, prior to applying for the policy.
- If one ever wished to include such pre-existing ailments in the coverage plan, the premiums would increase exponentially.
- Unlike Obamacare schemes, short-term policies will not cover fees for maternal care, injuries from abuse, and mental health treatment.
- When having a short-term policy, one can avail decent healthcare facilities at around $100 per month.
In general, despite the low coverage options it provides, those who are looking for it Cheap health insurance for an individual or cheap health insurance for families, This policy can be greatly benefited.
2. Collected Policy or Group of Policy:
Conventional policies or in other words higher premium plans will provide coverage for all the expensive hospital bills in case of critical illnesses or accidents. Whereas choosing short-term plans will simply cover regular doctor visits. But if one wishes to take advantage of the benefits of both policies, i.e. get coverage for critical illnesses as well as for normal or routine illnesses (such as cough, cold and fever), these days insurance companies offer bundled packages.
In the recent past, people used to apply for both policies separately in order to benefit from coverage in both cases. This made it difficult for insurance companies to calculate different percentages and amounts; Hence the plan for combo policies, allowing people to take advantage of both benefits within one policy. However, as it turns out, following these policies will definitely result in higher premiums than usual.
So the gist of all the points discussed above is that one should not always be drawn to offers that only advertise an offer cheap health insurance for individuals, Instead, one should look for the quality of coverage they offer for the cheap insurance rates. Shopping for health insurance also requires thorough research and study, just like any other insurance policies. Because this is a matter of health; It’s not worth worrying about money anywhere. Good service always comes at a price, hence one should be wise enough to look for policies that provide quality and affordable health insurance plans.